The current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations. It is calculated as a company's Total Current Assets divides by its Total Current Liabilities. Live Microsystems's current ratio for the quarter that ended in Mar. 2015 was 25.73.
Live Microsystems has a current ratio of 25.73. It indicates the company may not be efficiently using its current assets or its short-term financing facilities. This may also indicate problems in working capital management.
The historical rank and industry rank for Live Microsystems's Current Ratio or its related term are showing as below:
LMSC's Current Ratio is not ranked *
in the Hardware industry.
Industry Median: 1.96 * Ranked among companies with meaningful Current Ratio only.
Live Microsystems (OTCPK:LMSC) Current Ratio Explanation
The current ratio can give a sense of the efficiency of a company's operating cycle or its ability to turn its product into cash. Companies that have trouble getting paid on their receivables or have long inventory turnover can run into liquidity problems because they are unable to alleviate their obligations. Because business operations differ in each industry, it is always more useful to compare companies within the same industry.
Acceptable current ratios vary from industry to industry and are generally between 1 and 3 for healthy businesses.
The higher the current ratio, the more capable the company is of paying its obligations. A ratio under 1 suggests that the company would be unable to pay off its obligations if they came due at that point. While this shows the company is not in good financial health, it does not necessarily mean that it will go bankrupt - as there are many ways to access financing - but it is definitely not a good sign.
If all other things were equal, a creditor, who is expecting to be paid in the next 12 months, would consider a high current ratio to be better than a low current ratio, because a high current ratio means that the company is more likely to meet its liabilities which fall due in the next 12 months.
Live Microsystems Current Ratio Related Terms
Live Microsystems Current Ratio Historical Data
* Premium members only.
The historical data trend for Live Microsystems's Current Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
LMSC vs MFCO, DGDM, AWSM: Current Ratio Comparison
For the Communication Equipment subindustry, Live Microsystems's Current Ratio, along with its competitors' market caps and Current Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Live Microsystems Current Ratio vs Hardware Industry
For the Hardware industry and Technology sector, Live Microsystems's Current Ratio distribution charts can be found below:
* The bar in red indicates where Live Microsystems's Current Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Live Microsystems (LMSC) has a Current Ratio of 25.73 as of Mar. 2015.
Is Live Microsystems' Current Ratio too high?
Live Microsystems' current Current Ratio is 25.73. The Hardware industry median Current Ratio is 1.96. Live Microsystems' value of 25.73 is 1212.8% above this industry median.
How does Live Microsystems' Current Ratio compare to MFCO and DGDM?
Live Microsystems' Current Ratio of 25.73 can be compared against companies in the Hardware industry. The industry median Current Ratio is 1.96. Live Microsystems' value of 25.73 is 1212.8% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Current Ratio for a Hardware company?
The median Current Ratio among Hardware companies is 1.96, based on 2,492 companies in the industry. Companies in the top quartile (top 25%) have a Current Ratio significantly above this median, while those in the bottom quartile fall well below. However, Current Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Live Microsystems's current Current Ratio of 25.73 is 1212.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Current Ratio mean?
A high Current Ratio can signal that a stock is expensive relative to its fundamentals. For the Hardware industry, the median Current Ratio is 1.96 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Live Microsystems's current Current Ratio is 25.73. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Live Microsystems stock overvalued right now?
Live Microsystems (LMSC) has a current Current Ratio of 25.73. The current Current Ratio is 25.73 and 1212.8% above the Hardware industry median of 1.96. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Current Ratio calculated?
Current Ratio is calculated from a company's financial statements. For Live Microsystems (LMSC), the current Current Ratio is 25.73 as of Mar. 2015. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Live Microsystems Inc is a United States-based mobile internet powerhouses for network operators, consumer device manufacturers, brands and media companies entering the mobile market.
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